May 18, 2021 - Economy & Business

Bank of America to raise U.S. minimum wage to $25 by 2025

A person using an automated teller machine at a Bank of America bank branch in San Francisco in April 2021.

A person using an automated teller machine at a Bank of America bank branch in San Francisco in April 2021. Photo: David Paul Morris/Bloomberg via Getty Images

Bank of America announced in a statement Tuesday it will raise its U.S. minimum hourly wage to $25 by 2025.

Why it matters: The bank says its base hourly pay will have increased by more than 121% since 2010, which is a bump of nearly $14 per hour.

Context: Bank of America raised its minimum hourly wage to $20 last year and to $17 in 2019.

What they're saying: "A core tenet of responsible growth is our commitment to being a great place to work which means investing in the people who serve our clients,” said Sheri Bronstein, chief human resources officer at Bank of America.

  • “That includes providing strong pay and competitive benefits to help them and their families, so that we continue to attract and retain the best talent."

The big picture: The bank also said all its U.S. vendors are now required to pay their employees at or above $15 per hour.

  • Over 99% of the company’s U.S. vendor firms and vendor employees make the $15-per-hour rate or above.
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